If I rent out my house after living in there for 10 months, does this 10 months count as personal use?

[notaxwanted]

I am very puzzled by TurboTax's explanation.

Initially I thought my residence in the house for 10 months counts as personal use. But when I click personal use, TurboTax says:

The following are NOT treated as personal use days:

* days a member of your family used the property as their main home and paid a fair rental price

* days used full-time for repairs and maintenance (even if a family member also used it at the same time for personal purposes)

* days you used the dwelling as your main home before (or after) renting it, if:
1) the unit was rented 12 months or more or will be.

2) the dwelling unit was not rented 12 months or more but was sold.

So it is not personal use???

[DawnC]

No, you have no personal use once you rented it out.    It is asking for personal use days only while it was a rental property.   When you are setting up the rental property portion in TurboTax, you enter the date you started renting the property.   If you used it as a personal residence for the first 10 months and started renting the property on 11/01/21 - your placed in service date is 11/01/21 and it is asking for personal use days from 11/01 - 12/31.   If you rented the property to someone in Nov and Dec, your personal use would be 0 ZERO days.   

When you are in the rental property section, all the questions are referring to the time it was a rental.   Do not include any info for this property in the rental section that was for time you used it as a personal residence - that goes on Schedule A and is entered in the personal section.     The income and expenses while it was a rental is entered in the rental section and goes to Schedule E.    

[notaxwanted]

Thanks DawnC! Very helpful!

So in this case, in the previous question page when it asked me under "Converted" section "I converted this property from personal use to a rental in 2021" should I check box it or not? I feel yes? since before renting it out it is personal use?

[JillS56]

You would check the box "yes".